EconomyBookings Co-Founder Alen Baibekov
Currently, there is fierce competition for employees, especially in the information technology (IT) field. Unfortunately, there is often a perception that those working in IT are careless about their work and do not adhere to deadlines. However, by developing an effective company personnel management strategy, it is possible not only to motivate employees to work productively but also to retain them for over 10 years, as observed by Alen Baibekov, co-founder of the car booking platform EconomyBookings.
Every company is unique, so personnel management strategies vary, and the most effective model must be found through practical experience. The most important thing, in my opinion, is for the company to find innovative approaches to attract the best employees. Undoubtedly, one of the biggest challenges in attracting talent and building long-term working relationships is creating a strong company brand and culture.
Therefore, company leaders must think more broadly and find ways to strategically foster employee loyalty while considering the company’s financial capabilities. This raises the question: Do various motivation systems pay off for the company?
It’s More Cost-Effective to Retain Existing Employees
My opinion has remained unchanged for years – it’s more cost-effective to maintain relationships with existing employees than to search for new ones! Digital skill experts and other specialists are difficult to replace, and recruiting new staff is not only time-consuming but also an expensive process. Furthermore, if employees feel that their work is valued, they will make a significant contribution to the company’s success.
In our company, there are employees who have been with us since the very first day of its founding. This is an impressive fact that I am truly proud of!
Such employees provide the necessary continuity, knowledge, and experience, which results in the company’s stability and growth. In numerical terms, 15% of our employees have been with the company for more than a decade, making them part of the organization’s DNA.
Listening to Employees
A friendly team and exciting projects form a strong foundation for productivity and company success. To maintain this positive dynamic and relationships, it’s important to keep communication with employees ongoing, understand their needs, and provide opportunities for growth and development. Additionally, to ensure long-term employee retention, we regularly assess and adjust company policies to ensure they meet changing needs and circumstances.
We pay attention to offering competitive salaries. Data shows that real wages have declined in most European countries, influenced by record-high inflation, which was still 6.4% in the EU as of June 2023. It’s important to us that employees can live comfortably, so we are accommodating and offer help in difficult situations.
Helping Employees Climb the Career Ladder
It’s also worth noting other aspects that improve employee loyalty to the company. First and foremost are working conditions and company culture; it’s important to ensure comfort so that it’s enjoyable to both work and take breaks. Of course, career growth opportunities are crucial! Satisfied employees tend to seek new challenges and learn new things, so it’s essential to offer training to help them progress in their careers.
Whenever there are new vacancies in the company, we always give preference to existing employees. This is a strategic path to maintaining competitiveness and building a sustainable company where employees are motivated and capable of successfully fulfilling their tasks.
One very effective “trick” that strongly motivates employees is to celebrate special occasions with a gift – a trip. This approach offers several advantages, as employees feel appreciated and rewarded for their contributions, thereby boosting motivation and loyalty to the company. Additionally, this way, employees can rest and recharge to return to work with renewed energy, which, of course, benefits the company.
The Foundation – Humanity and Understanding
However, not all problems can be overcome with an effective strategy, and there are currently several challenges in attracting talented employees. Primarily, demographic changes – an aging population. More and more people are reaching retirement age, reducing the number of working-age individuals. As technology advances, job requirements are changing, necessitating employees with new digital skills, which will reduce the availability of the workforce in the future.
Another factor is the brain drain. Modern globalization and mobility promote employee rotation, and many choose to work abroad. However, the biggest challenge is the combination of these factors and adapting to changing labor market conditions.
Despite the challenges, I am firmly convinced that there is still a sufficient number of talented individuals in Latvia at a reasonable cost, which is one of the main factors for business development. Good management that ensures clear communication and an open dialogue with employees fosters trust and loyalty, which is why working relationships can last for 10 years or more. I believe that the foundation of everything is humanity and understanding!
